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Forums - Sales Discussion - Prediction: PS4 up YOY big time in 2017

 

What you think

Agreed, big time year 211 81.47%
 
Nah PS4 sell bad 34 13.13%
 
Scorpio gonna kill PS4 14 5.41%
 
Total:259
Mummelmann said:
Train wreck said:
The only thing that can prevent the PS4 from being up YOY is the PS4 itself. As long as the game library is there and there is an attractive new price it'll be fine (flat or +yoy) for 2017. It's a GT year so that should up the baseline in Europe, I think its more of a system seller than Uncharted.

I think people are overestimating GT at this point, the series has been getting a lot of flack from fans for being behind on tech, not fixing audio, using really dated models, removing content, poor multiplayer etc. Metascore has fallen with each installment and sales have gone down ever since GT3, to the point where GT6 is set to sell about 1/4 of GT3, on about 60-65% of the installed base, the series has clearly lost traction. The sales down from GT5 are more than halved as well, this is extremely telling of the waning relevance of the series.

Meanwhile, Uncharted has remained in the 90's on metacritic, with UC4 beating UC3 (93 vs 92) and sales of the series has been steadily climbing, to the point where UC4 has officially beat UC3's sales by about 2 million already, on a significantly smaller installed base at that. The Uncharted series has been steadily growing and has also kept its favor with fans and critics alike.

In other words; it's very, very unlikely that GT is a bigger system seller than UC, or that it's even close to as relevant today as the UC series. Discounting GT, what else will help increase sales in 2017? Final Fantasy, Metal Gear Solid, Uncharted, PSVR, Slim, Pro and price cuts didn't help make 2016 as fantastic as many thought, I was considered partly insane for my "conservative" year end prediction and my refusal to "accept" that the PS4 would sell 20 million or more for the CY.

Like I said in another post; there's no secret sauce that will suddenly kickstart PS4 sales and drive them higher, most, if not all, signs point towards either more or less flat or slightly down yoy. If it drops, which it well might, I don't think it'll be a huge drop, perhaps in the 5-7% range or so. There's really no logical reason to think that the PS4 will sell more in 2017 at this point, let's not forget that it has had some really paltry competition and still failed to meet many expectations people have in here. If it hasn't flexed its muscles and showed signs of being a 20 million + a year console, it won't suddenly become that in its 4th year on the market, it appears to have flipped the PS3's curve and gone for a good start with an early but smaller decline, whereas the PS3 started slow and then basically grew for 6 years straight. For some perspective; the PS4's best year so far is only about 15-20% better than the PS3's peak year.

There actually has been zero signs of PS4 starting early and then slowing down, because it has gone up for now the third year in a row, and we'll have to see how it does in 2017 but if it goes up year on year than it will go up year on year 4 consecutive times which means it has a long tail



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CGI-Quality said:
Mummelmann said:

I think people are overestimating GT at this point, the series has been getting a lot of flack from fans for being behind on tech, not fixing audio, using really dated models, removing content, poor multiplayer etc. Metascore has fallen with each installment and sales have gone down ever since GT3, to the point where GT6 is set to sell about 1/4 of GT3, on about 60-65% of the installed base, the series has clearly lost traction. The sales down from GT5 are more than halved as well, this is extremely telling of the waning relevance of the series.

Eh, GT6 isn't the best indication of a serious decline (mainly due to when it released). The sales of everything after GT3 is also a little fickle, because while GT4 sold less than it, GT5 outsold GT4. On top of that, GT3 is the worst one to use as it was bundled far beyond any of the other releases (hence the spike).

GT Sport isn't a mainline release (though I agree that its launch and LTD is critical for the series). It'll be the first GT released this gen, so that will be the best time to start judging where the series could be headed.

In terms of GT's selling power, there could be some overestimating going on, but because of series' like The Last Of Us and Uncharted, Sony no longer has just one mega series like that. So GT doesn't need to pack quite the punch of past generations.

Good points, but wasn't GT5 also heavily bundled?

I think UC has more selling power than GT today, fans of the series are kinda pissed with the direction, or rather lack of direction, the series has taken and for younger and newer fans, games like GT are simply too boring. That's the challenge with making a racing sim; it's unlikely to have as large an audience as a simpler, more arcade-like game, in most cases. The reason the GT series has done so well is probably scope and the relative lack of proper competition, there really haven't been many realistic racing games besides the rally genre, ever since GT released in the 90's.

Personally, as a huge fan of the series since the beginning, I'm very disappointed in both GT5 and GT6, they're not bad games by any stretch of the imagination, but they're no longer fantastic, as one has come to expect of GT games.

PS: I was disregarding games like GT Sport, the prologues and GT HD, for instance. Mainline only. And the series has undoubtedly lost a lot of relevance over the years.



aLkaLiNE said:
JWeinCom said:

Admitted?  I gotta say I'm kind of confused.  I didn't say anything about whether XBox One sales would be up or down in the first place, yet you're acting as though I'm "admitting" to something.  And I don't even understand what it meanst to "admit XB1 down YOY".  Did I have some inside knowledge from the future that I was hiding?  

I'm also not sure what word play jokes you saw.  O_o... 

The PSVR was fairly available for most of october (I know I looked) and sales were basically flat for PS4 week over week and year over year.  It could be selling more with better supply, but it's not like a PS2/Wii/NES Classic situation where there are tons of people desperately waiting.

It's clearly not a system seller like Kinect, which begs the question of why the PS4 will be up big YOY.  PSVR and Pro both seem like relatively niche products, and the price was already dropped effectively 50 dollars this holiday season.  Another pricecut will help somewhat, if Sony does one, but it isn't going to be that much bigger.

So, the games lineup will have to be enough not only to overcome the natural decline in sales, but also push out a few million more units.  If you're predicting sales of about 20 million, the games have to basically be 4-5 million hardware sales better than last year's, and they really aren't.

There was no effective $50 price drop for VR or the Pro. The only 'deal' I saw involved using a target red card (in store credit card) and they also discounted nearly the entire store one day after Black Friday. Pro and VR were part of this (like I said, store wide promotion) but neither were advertised at the discounted prices nor was it common knowledge where and how to get them for cheaper than msrp. There was no "effective" price drop for either 

The price drop was referring to the PS4 itself.

bluedawgs said:
JWeinCom said:

Admitted?  I gotta say I'm kind of confused.  I didn't say anything about whether XBox One sales would be up or down in the first place, yet you're acting as though I'm "admitting" to something.  And I don't even understand what it meanst to "admit XB1 down YOY".  Did I have some inside knowledge from the future that I was hiding?  

I'm also not sure what word play jokes you saw.  O_o... 

The PSVR was fairly available for most of october (I know I looked) and sales were basically flat for PS4 week over week and year over year.  It could be selling more with better supply, but it's not like a PS2/Wii/NES Classic situation where there are tons of people desperately waiting.

It's clearly not a system seller like Kinect, which begs the question of why the PS4 will be up big YOY.  PSVR and Pro both seem like relatively niche products, and the price was already dropped effectively 50 dollars this holiday season.  Another pricecut will help somewhat, if Sony does one, but it isn't going to be that much bigger.

So, the games lineup will have to be enough not only to overcome the natural decline in sales, but also push out a few million more units.  If you're predicting sales of about 20 million, the games have to basically be 4-5 million hardware sales better than last year's, and they really aren't.

I'm not actually arguing, at this current moment, that PSVR is going to sell a bunch of PS4's. I just saw that you mentioned PSVR when talking about PS4 barely being up year on year and i think a product that expensive, that also is completely new and not super available won't start selling really well until this year or next year

edit: also i mentioned the price cut a few times now, its pretty important, especially when you take into account that PS4 actually sold for $350 for 8 months in 2016 and got a shockingly bad $50 price cut with the slim. It was up 500k year on year (6.2 million in 2016 vs 5.7 million in 2015) with the $250 deal in the holidays with at least 400k less sales in the United States in November 2016 compared to 2015 (we still don't have december numbers but if its down by a few hundered thousand units in the United States than sales are being made up for big time somewhere else)

There's only one time where we've seen a big spike in sales this late into a generation, and that was the XBox 360 when the Kinect launched, which is why I looked at PSVR and PS4Pro.  Every system since the PS2 has had decreased sales in its fourth full year, with the exception of the PS3, which rose a modest 7%.

 Pretty much every system has had price cuts throughout their lifespans, and they've all had big sequels, so these things wouldn't explain why there would be a big spike in PS4 sales.  Unless the price was really slashed (which Sony has no motivation to do since they're already selling well), or there was a popular new piece of hardware, there is really no reason to expect the PS4 to buck the trend, especially since sales have seemingly already plateaud.  It would take something out of the ordinary to have a huge surge next year.



CGI-Quality said:

All GTs are bundled to some extent, but not the extent of GT3. 

As for selling power vs Uncharted - in the States, yes, Uncharted is stronger. But, in EU, that remains to be seen, though I'm going to give GT the edge here. Of course, that all depends on where Uncharted rests out there vs GT Sport. That 8.7m with much, much more time left to go is telling. But, as it stands, Uncharted is on its way to being one of three GT-like franchises for Sony.

Yeah, it's hard to say for sure, we have no point of reference for GT on the PS4, unlike the PS, PS2 and PS3. We'll have to wait and see, but my expectations are fairly low all in all, both for the game itself and its capability to sell hardware.



Mummelmann said:

I think people are overestimating GT at this point, the series has been getting a lot of flack from fans for being behind on tech, not fixing audio, using really dated models, removing content, poor multiplayer etc. Metascore has fallen with each installment and sales have gone down ever since GT3, to the point where GT6 is set to sell about 1/4 of GT3, on about 60-65% of the installed base, the series has clearly lost traction. The sales down from GT5 are more than halved as well, this is extremely telling of the waning relevance of the series.

Meanwhile, Uncharted has remained in the 90's on metacritic, with UC4 beating UC3 (93 vs 92) and sales of the series has been steadily climbing, to the point where UC4 has officially beat UC3's sales by about 2 million already, on a significantly smaller installed base at that. The Uncharted series has been steadily growing and has also kept its favor with fans and critics alike.

In other words; it's very, very unlikely that GT is a bigger system seller than UC, or that it's even close to as relevant today as the UC series. Discounting GT, what else will help increase sales in 2017? Final Fantasy, Metal Gear Solid, Uncharted, PSVR, Slim, Pro and price cuts didn't help make 2016 as fantastic as many thought, I was considered partly insane for my "conservative" year end prediction and my refusal to "accept" that the PS4 would sell 20 million or more for the CY.

Like I said in another post; there's no secret sauce that will suddenly kickstart PS4 sales and drive them higher, most, if not all, signs point towards either more or less flat or slightly down yoy. If it drops, which it well might, I don't think it'll be a huge drop, perhaps in the 5-7% range or so. There's really no logical reason to think that the PS4 will sell more in 2017 at this point, let's not forget that it has had some really paltry competition and still failed to meet many expectations people have in here. If it hasn't flexed its muscles and showed signs of being a 20 million + a year console, it won't suddenly become that in its 4th year on the market, it appears to have flipped the PS3's curve and gone for a good start with an early but smaller decline, whereas the PS3 started slow and then basically grew for 6 years straight. For some perspective; the PS4's best year so far is only about 15-20% better than the PS3's peak year.

It's not advisable to predict GTS's performance off of GT6 considering the latter's circumstances. It was pretty damn obvious that GT6 would not sell as well as the previous entries when it was released right when the PS4 launched. Yet, in spite of that, it still managed to sell a respectable amount of units. To me, it is going to come down to multiple factors, namely the quality of GTS and Sony's marketing behind it. The initial trailer was terribad, though it was later revealed that it was utilizing an ancient build. That still does not excuse the trailer because it really gave a lot of people a negative impression. Since then, it has made gradual improvements.

Comparing GT to Uncharted is a flawed assessment unless Sony bundles the PS4 with GTS. Uncharted 4 as a standalone game did sell really well, but we need to acknowledge that the bundle also drove that number to 8.7 million sales. It's not really fair to compare GTS to UC4 if the former is never bundled. And as CGI pointed out, GT3 was bundled with the PS2.

Also, you need to look past just the amount of units sold in a year. While the PS4 sold slightly more in 2016 than in 2015, there's a catch. The PS4 was down YOY in the US as of November 2016 by a significant margin and yet, it managed to outperform its 2015 WW performance. In addition, you need to consider how SIEA pushed the PS4 during the 2015 and 2016 holiday seasons. In 2015, there were the Uncharted Collection 500GB bundle, Black Ops 3 1TB LE bundle, Black Ops 3 500GB standard bundle, and 3 different Star Wars Battlefront bundles. In 2016, there were just the UC4 500GB bundle, the FFXV 1TB LE bundle, the PS4 Pro, and the Infinite Warfare 500GB bundle.

Holiday sales in the US are dependent on three factors: price, AAA 3rd party software, and bundle variety. The PS4 did amazing during the 2015 holiday season because it checked off all three of the aspects I mentioned. In 2016, the PS4 only checked off one which was price. AAA 3rd party software took a major hit. COD IW sold substantially worse than Black Ops 3. Watch Dogs 2 didn't move the needle at all. There weren't Fallout 4 and Star Wars Battlefront last year. Other than the UC4 bundle, all the other SKUs were costly. The Pro's price stayed at $399. The FFXV LE bundle cost a whopping $449. The Infinite Warfare bundle came out after Christmas whereas Sony released the Black Ops 3 bundle in December 14, 2015 when consumers are still in a buying mood. Barring any delays, the AAA 3rd party offerings for the holiday season are shaping up to be better. This will also affect the attractiveness and variety of the bundles.



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RolStoppable said:

I agree, the PS4 won't break that 20m barrier for a single calendar year. The system's surrounding variables match up with those of many previous winning systems (the competition is beaten, third parties have put their full weight behind the console), so a peak in year 2-3 followed by a soft decline is the most probable sales trajectory. Beyond year 3 for such a system, about the only things that can lead to an uptick in sales are a revision (the PS4 already got it in 2016) or a new IP that becomes a breakout hit.

If we break down PS4 sales by region, 2016 was already a decline from 2015 outside of Japan which was the only region where PS4 sales were up year over year. At this point the curve is pointing downwards in most of the world.

That's actually not true. According to Famitsu, the PS4 was up YOY by ~590K sales. Media Create has it up YOY by ~450K sales with a week to go. In the US, the PS4 was down YOY by ~630K as of November. Assuming that the PS4 exhibited a similar YOY decrease in December as November, the PS4 would be down YOY by ~1.08 million for 2016. That is significantly larger than the YOY increase from either Famistu or Media Create and then, you have to consider the extra 100K from the YOY WW increase.



RolStoppable said:
Mummelmann said:

(...)

Like I said in another post; there's no secret sauce that will suddenly kickstart PS4 sales and drive them higher, most, if not all, signs point towards either more or less flat or slightly down yoy. If it drops, which it well might, I don't think it'll be a huge drop, perhaps in the 5-7% range or so. There's really no logical reason to think that the PS4 will sell more in 2017 at this point, let's not forget that it has had some really paltry competition and still failed to meet many expectations people have in here. If it hasn't flexed its muscles and showed signs of being a 20 million + a year console, it won't suddenly become that in its 4th year on the market, it appears to have flipped the PS3's curve and gone for a good start with an early but smaller decline, whereas the PS3 started slow and then basically grew for 6 years straight. For some perspective; the PS4's best year so far is only about 15-20% better than the PS3's peak year.

I agree, the PS4 won't break that 20m barrier for a single calendar year. The system's surrounding variables match up with those of many previous winning systems (the competition is beaten, third parties have put their full weight behind the console), so a peak in year 2-3 followed by a soft decline is the most probable sales trajectory. Beyond year 3 for such a system, about the only things that can lead to an uptick in sales are a revision (the PS4 already got it in 2016) or a new IP that becomes a breakout hit.

If we break down PS4 sales by region, 2016 was already a decline from 2015 outside of Japan which was the only region where PS4 sales were up year over year. At this point the curve is pointing downwards in most of the world.

Last part is really interesting, I don't know how many times I've gotten into arguments with folks dubbing the PS4 "the next PS2". The PS2 was the culmination of perfect conditions for home consoles in almost every possible way and it was obvious that its success wouldn't be replicated any time soon.

I wrote about hardware revisions in the UNITY thread, there's no doubt the market has changed, it's more fast-paced and consumption driven, and with more and more non-gaming functionality on static devices like consoles, they're forced to follow more dynamic devices in their approach to updates on both hardrware and software. Even the business models for software sales and partitioned games are taking cues from the smartphone segment, with micotransactions and purchase of in-game content having grown huge since 2009-2010. Gone are the days where a game is developer for a couple of years, released and then patched a couple of times to remove kinks, now you buy in bits as you go, DLC and add-on's are absolutely everywhere.

I think the PS4 will be slightly down yoy in 2017, I can't really see much else happening at this point. Price cuts help short term (even the Wii U got a quick burst from a price cut), but if the pent up demand isn't there, consoles won't fly off the shelves even with a sizable price cut. All in all, consoles simply don't have anywhere near the same perceived value in the 8th gen as they did in the two previous generations and the audience is scattered across several segments and niches now.

PS: Do you think the PS4 can beat the PS1 in lifetime sales at this rate?



Mummelmann said:
RolStoppable said:

I agree, the PS4 won't break that 20m barrier for a single calendar year. The system's surrounding variables match up with those of many previous winning systems (the competition is beaten, third parties have put their full weight behind the console), so a peak in year 2-3 followed by a soft decline is the most probable sales trajectory. Beyond year 3 for such a system, about the only things that can lead to an uptick in sales are a revision (the PS4 already got it in 2016) or a new IP that becomes a breakout hit.

If we break down PS4 sales by region, 2016 was already a decline from 2015 outside of Japan which was the only region where PS4 sales were up year over year. At this point the curve is pointing downwards in most of the world.

Last part is really interesting, I don't know how many times I've gotten into arguments with folks dubbing the PS4 "the next PS2". The PS2 was the culmination of perfect conditions for home consoles in almost every possible way and it was obvious that its success wouldn't be replicated any time soon.

I wrote about hardware revisions in the UNITY thread, there's no doubt the market has changed, it's more fast-paced and consumption driven, and with more and more non-gaming functionality on static devices like consoles, they're forced to follow more dynamic devices in their approach to updates on both hardrware and software. Even the business models for software sales and partitioned games are taking cues from the smartphone segment, with micotransactions and purchase of in-game content having grown huge since 2009-2010. Gone are the days where a game is developer for a couple of years, released and then patched a couple of times to remove kinks, now you buy in bits as you go, DLC and add-on's are absolutely everywhere.

I think the PS4 will be slightly down yoy in 2017, I can't really see much else happening at this point. Price cuts help short term (even the Wii U got a quick burst from a price cut), but if the pent up demand isn't there, consoles won't fly off the shelves even with a sizable price cut. All in all, consoles simply don't have anywhere near the same perceived value in the 8th gen as they did in the two previous generations and the audience is scattered across several segments and niches now.

PS: Do you think the PS4 can beat the PS1 in lifetime sales at this rate?

you're just expecting ps4 to drop like a rock arent you



Aura7541 said:

That's actually not true. According to Famitsu, the PS4 was up YOY by ~590K sales. Media Create has it up YOY by ~450K sales with a week to go. In the US, the PS4 was down YOY by ~630K as of November. Assuming that the PS4 exhibited a similar YOY decrease in December as November, the PS4 would be down YOY by ~1.08 million for 2016. That is significantly larger than the YOY increase from either Famistu or Media Create and then, you have to consider the extra 100K from the YOY WW increase.

Aaaah. Those 1% Chinese gamers. Finally make a dent in the sales curve.

On a more serious side, China still seems to be as pointless for console sales as it has ever been...



Mummelmann said:
RolStoppable said:

I agree, the PS4 won't break that 20m barrier for a single calendar year. The system's surrounding variables match up with those of many previous winning systems (the competition is beaten, third parties have put their full weight behind the console), so a peak in year 2-3 followed by a soft decline is the most probable sales trajectory. Beyond year 3 for such a system, about the only things that can lead to an uptick in sales are a revision (the PS4 already got it in 2016) or a new IP that becomes a breakout hit.

If we break down PS4 sales by region, 2016 was already a decline from 2015 outside of Japan which was the only region where PS4 sales were up year over year. At this point the curve is pointing downwards in most of the world.

Last part is really interesting, I don't know how many times I've gotten into arguments with folks dubbing the PS4 "the next PS2". The PS2 was the culmination of perfect conditions for home consoles in almost every possible way and it was obvious that its success wouldn't be replicated any time soon.

I wrote about hardware revisions in the UNITY thread, there's no doubt the market has changed, it's more fast-paced and consumption driven, and with more and more non-gaming functionality on static devices like consoles, they're forced to follow more dynamic devices in their approach to updates on both hardrware and software. Even the business models for software sales and partitioned games are taking cues from the smartphone segment, with micotransactions and purchase of in-game content having grown huge since 2009-2010. Gone are the days where a game is developer for a couple of years, released and then patched a couple of times to remove kinks, now you buy in bits as you go, DLC and add-on's are absolutely everywhere.

I think the PS4 will be slightly down yoy in 2017, I can't really see much else happening at this point. Price cuts help short term (even the Wii U got a quick burst from a price cut), but if the pent up demand isn't there, consoles won't fly off the shelves even with a sizable price cut. All in all, consoles simply don't have anywhere near the same perceived value in the 8th gen as they did in the two previous generations and the audience is scattered across several segments and niches now.

PS: Do you think the PS4 can beat the PS1 in lifetime sales at this rate?

My guess?

2017: 18.5m

2018: 15m

2019: 11m

2020: 7m  (playstation 5 launches)

= about 105m around end of 2020.

 

I wouldnt even say thats overly optimistic, I can see PS4 hitting 110m+ lifetime.

So yes its going to beat the Playstation 1 sales, and probably before the Playstation 5 launches.